After Sales Services

The Quest for Faster Growth and Higher Margins

A Guide on Turning Opportunities into Results

Developing the service business is a very attractive opportunity for most industrial goods companies - but one that remains largely underexploited. However, performance within this sector is impressive: Services generate between 20% and 25% of revenues for many European industrial goods manufacturers, accounting for half of the sector’s profits and growing steadily at 5% annually. Even so, considering the full potential of their installed base, industrial companies typically reach only 10% to 25% of their service revenue – and many companies don’t even know where they stand regarding their full service potential.

The new study by Barkawi Management Consultants, “After Sales Services – The quest for faster growth and higher margins” is a pragmatic and action-oriented guide on turning opportunities into results. Within this study, we introduce practice-proven steps for building a more efficient and profitable service business and describe the successful transition to becoming a customer-focused service champion - a challenging endeavor, but one that offers great rewards: Depending on the industry, an effective service line can generate more than 50% of your revenues. To exploit the untapped potential, this study serves as a guideline that covers all aspects from strategy to implementation. In an increasingly challenging economy, service remains one of the biggest growth opportunities for the industrial goods industry - one that shouldn’t be left to competitors.

We hope you will find this an interesting read, and we would be happy to discuss this topic further with you. Our broad experience in developing and implementing service programs enables us to assess your companies’ service status and potential very rapidly.